Dear dynare team, if I have a expression like this,
Then how to write in dynare model block, thanks a lot.
My best,
ZL, Jiang
Dear dynare team, if I have a expression like this,
Then how to write in dynare model block, thanks a lot.
My best,
ZL, Jiang
My take on this is that you should use your model to derive an expression for the conditional expectation term in terms of observable and input it.
Either you manually introduce auxiliary variables (see e.g. Expected value of a power) or you use Dynare’s EXPECTATION()()
operator (see the manual).